inignoct wrote:
] [edit] i'll leave my original post below, but take w/ grain of
] salt. this is the NY Post after all, and i've seen no
] corroboration yet. perhaps i got over excited
] [/edit]

That would be the correct answer. NYPOST is sort of like the National Enquirer. I can't beleive Slashdot also picked this up.

Follow the link here for the MCD press release.

Even if there IS a deal between MCD and Apple it will be a cold day in hell before either Pepsi or MCD pays full price at volume 1 billion, or even 100 million. Its not even a matter of why pay full price when a deal could easily be negotiated, its a matter of the numbers being off the chart. This would probably be the most expensive marketing campaign of all time.

We're talking about $990 million dollars here. This would suck up almost all of their free cashflow. Last year the company's total annual advertising expenditures were $647.6 million.

MCD: We have nothing to announce...

i don't know who couldn't believe that /. picked up this story, but I just saw it on the business segment on CNN. Apparently what they are banking on is that the vast majority of people won't actually redeem the free songs. The companies do not have to pay for them unless people actually use the vouchers. However, they did confirm that they paid full price for the songs (when they are eventually used).

inignoct wrote:
] [edit] i'll leave my original post below, but take w/ grain of
] salt. this is the NY Post after all, and i've seen no
] corroboration yet. perhaps i got over excited
] [/edit]
]
] man. looks like i'll be ordering me some mcflurry's.
]
] and also, holy shit !
]
] " Both Pepsi and McDonald's are paying Apple's retail price of
] 99 cents per song, sources say. And McDonald's has arranged to
] buy up to a billion songs to meet customer demand."
]
] That's some nice extra revenue, even if reality pushes the
] number down to, say, 300 million. that's amazing that they're
] paying full price, AND paying marketing. it's almost like,
] McD's and Pepsi are acting like Apple is a stronger trademark
] to capitalize on. or, at least, that iTunes/online music
] offers them some special benefits. Damn.

ryan is the supernicety wrote:
] i don't know who couldn't believe that /. picked up this
] story, but I just saw it on the business segment on CNN.

You saw them report that the NY Post reported it.

] However, they did confirm that they paid full price
] for the songs (when they are eventually used).

Who confirmed what? McDonalds issued a press release specifically disclaiming the story, which I linked from my reply.

Obviously this is as good for Apple as it is for McDonalds. Why on earth would McDonalds agree to bear all of the costs? That doesn't make any sense.

What precentage of those vouchers do you think are going to get claimed? 60%? Then thats almost the same as their annual marketing budget. 30%? Ok, now we are down to half of their budget. I can't see this being affordable unless the actual pickup rate was less then 5 percent ($45 million, not even factoring in logisitcal costs), and I don't think thats realistic for a promotion like this.